Islamabad, December 4, 2023 – Pakistan and Germany have joined hands to sign a pivotal agreement. This collaborative effort is poised to elevate both the power transmission infrastructure and healthcare services in Pakistan.
Today, the Ministry of Economic Affairs and KfW, the German Development Bank, marked a significant milestone by signing agreements aimed at enhancing Pakistan’s power transmission sector and supporting the health sector, particularly in flood-affected areas.
Sebastian Jacobi, Country Director of KfW, and Dr. Kazim Niaz, Secretary of the Ministry of Economic Affairs, formalized these agreements in a ceremony held in Islamabad, solidifying Germany’s commitment to advancing Pakistan’s development goals. Managing Director of NTDC, Engr. Dr. Rana Abdul Jabbar Khan, also attended the ceremony.
Under the Accompanying Measures support to the “Promotion of Renewable Energies and Energy Efficiency” program, KfW, representing the German Government, will provide an additional grant of Euro 2.5 million to the National Transmission and Despatch Company (NTDC).
This funding aims to support NTDC in ensuring the effective operation and maintenance of installations, incorporating robust environmental and social management systems. The initiative is poised to enhance the integration of needs-based renewable energy into the transmission system, contributing to sustainable economic growth and climate protection.
In another significant move, KfW will allocate an additional Euro 1.5 million to the “Self-Employment of Women in the Private Health Sector” program. This initiative seeks to economically empower women by establishing 400 clinics in Punjab and Khyber Pakhtunkhwa, creating income-generating opportunities. The support is designed to foster inclusive and sustainable economic growth while concurrently improving reproductive health services in rural areas.
Expressing gratitude, Kazim Niaz, Secretary of the Ministry of Economic Affairs, acknowledged the German Government’s steadfast support and commended KfW for its pivotal role in fostering economic growth and sustainable development in Pakistan. In response, Sebastian Jacobi emphasized that KfW’s funding in the energy and governance sectors will not only drive sectoral improvements but also contribute to the socio-economic uplift of beneficiaries through job creation and infrastructure development.
Highlighting the longstanding economic cooperation between Germany and Pakistan, dating back over 60 years, Mr. Jacobi noted that Germany has consistently supported Pakistan in infrastructure development and improving social conditions. The latest agreements reaffirm Germany’s commitment to being a reliable partner in Pakistan’s journey towards progress and prosperity.
The collaboration between the Ministry of Economic Affairs and KfW stands as a testament to the shared vision of creating a resilient and sustainable future for Pakistan. Through strategic investments in power transmission and healthcare, these agreements are poised to have a lasting impact on the country’s economic development and the well-being of its people.
As both nations look forward to the future, these initiatives underscore the importance of international partnerships in addressing pressing challenges and fostering inclusive growth. Germany’s ongoing support reaffirms its role as a valuable ally in Pakistan’s pursuit of progress and prosperity.